Talos Energy (NYSE:TALO – Get Free Report) and Royale Energy (OTCMKTS:ROYL – Get Free Report) are both small-cap oils/energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, analyst recommendations, profitability, earnings, dividends and valuation.
Insider and Institutional Ownership
89.3% of Talos Energy shares are owned by institutional investors. 0.8% of Talos Energy shares are owned by insiders. Comparatively, 61.8% of Royale Energy shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.
Earnings and Valuation
This table compares Talos Energy and Royale Energy”s gross revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Talos Energy | $1.87 billion | 0.95 | $187.33 million | $0.54 | 18.37 |
Royale Energy | $2.16 million | 1.41 | -$1.83 million | ($0.05) | -0.86 |
Volatility and Risk
Talos Energy has a beta of 1.91, indicating that its stock price is 91% more volatile than the S&P 500. Comparatively, Royale Energy has a beta of 0.1, indicating that its stock price is 90% less volatile than the S&P 500.
Analyst Ratings
This is a breakdown of recent ratings and price targets for Talos Energy and Royale Energy, as reported by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Talos Energy | 0 | 2 | 7 | 0 | 2.78 |
Royale Energy | 0 | 0 | 0 | 0 | 0.00 |
Talos Energy currently has a consensus target price of $16.28, indicating a potential upside of 64.09%. Given Talos Energy’s stronger consensus rating and higher possible upside, analysts clearly believe Talos Energy is more favorable than Royale Energy.
Profitability
This table compares Talos Energy and Royale Energy’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Talos Energy | 3.95% | -1.98% | -0.86% |
Royale Energy | -145.31% | N/A | N/A |
Summary
Talos Energy beats Royale Energy on 10 of the 14 factors compared between the two stocks.
About Talos Energy
Talos Energy Inc., through its subsidiaries, engages in the exploration and production of oil, natural gas, and natural gas liquids in the United States and Mexico. It also engages in the development of carbon capture and sequestration. Talos Energy Inc. was founded in 2011 and is headquartered in Houston, Texas.
About Royale Energy
Royale Energy, Inc. acquires, explores for, develops, produces, and sells oil and natural gas properties in the United States. Its principal operations are located in the Sacramento Basin and San Joaquin Basin in California, as well as in Utah, Texas, Oklahoma, Louisiana, and Colorado. Royale Energy, Inc. was incorporated in 1986 and is based in El Cajon, California.
Receive News & Ratings for Talos Energy Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Talos Energy and related companies with MarketBeat.com's FREE daily email newsletter.